Fair Work Ombudsman v Hasegawa & Ye International Pty Ltd

Case

[2019] FCCA 1424

28 May 2019


Details
AGLC Case Decision Date
Fair Work Ombudsman v Hasegawa and Ye International Pty Ltd [2019] FCCA 1424 [2019] FCCA 1424 28 May 2019

CaseChat Overview and Summary

The Fair Work Ombudsman (FWO) brought proceedings against Hasegawa & Ye International Pty Ltd and its director, Mr. Jian Ye, alleging contraventions of the *Fair Work Act 2009* (Cth) (the Act). The dispute concerned alleged underpayments of wages and entitlements to employees of the company, and the failure to keep proper records and provide pay slips as required by the Act. The proceedings were heard in the Federal Court of Australia.

The primary legal issues before the Court were whether the company had contravened provisions of the Act relating to minimum wages, annual leave, personal/carer's leave, and redundancy pay. Additionally, the Court was required to determine whether Mr. Ye, as a director, was knowingly concerned in, or party to, the company's contraventions, thereby rendering him personally liable under section 550 of the Act. The FWO also sought pecuniary penalties for these alleged contraventions.

Dowdy J found that the company had indeed contravened the Act by failing to pay employees their minimum entitlements, including wages, annual leave, personal/carer's leave, and redundancy pay, as stipulated by the relevant modern award and the National Employment Standards. The Court also found that Mr. Ye was knowingly concerned in, and party to, these contraventions, making him personally liable. In reaching this conclusion, the Court considered the evidence presented regarding the employment arrangements, the company's financial records, and Mr. Ye's role in the management and operation of the business. The Court applied the principles of statutory interpretation to the relevant sections of the Act and relevant awards, and considered the established legal tests for establishing accessory liability under section 550.

The Court ordered Hasegawa & Ye International Pty Ltd to pay pecuniary penalties totalling $102,600 and Mr. Jian Ye to pay pecuniary penalties totalling $20,520. The company was also ordered to rectify the underpayments to the affected employees, with the total amount of back pay ordered to be paid being $100,000.
Details

Areas of Law

  • Employment Law

  • Statutory Interpretation

Legal Concepts

  • Breach

  • Penalty

  • Remedies

  • Statutory Construction

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Cases Citing This Decision

1

Cases Cited

7

Statutory Material Cited

4

Kelly v Fitzpatrick [2007] FCA 1080